Bad Credit? Get the Credit Card you Want and the Credit Card you Need!

by: admin - February 28th, 2011   Filed under: Credit Repair, UK Credit Cards
So you have bad credit, millions do, and more importantly millions did.  Yes million of people have taken the steps necessary to improve their credit history, and credit ratings.

Before you start to improve your credit rating, it’s critical to find out why your credit is in the state that it is. If you don’t know why your credit is poor, then you must ask to see your credit reference file to find out.  At the UK Credit Card Centre we can help you in your quest to understand your credit score. 

Once you have a good understanding why your credit score is poor, or bad, there are a number of simple steps you can take to help improve your credit rating and start to rebuild credit history and score:

  • Make sure you are on the electoral roll. It only takes a few minutes to register with your local council and it will help to improve your credit score over time.
  • Always pay bills when they are due. This will begin to improve your credit history and score and will again give you an improved credit rating over time.
  • Do not apply for too much credit.  The number of times you apply for credit, either credit cards or loans can have a negative effect on your credit score. Every application for credit is logged into your credit file.  Too many credit applications in a short period of time may not help your credit rating.
  • The truth matters.  When applying for credit never give false or misleading details.  Always tell the truth.  If there are inconsistencies with past credit applications or details that are held on credit checking systems differ from your application it will affect your credit score.
  •  Start to build a credit history over time and when you check your credit reference file you should find an improved credit score.  Remember good credit will not occur over-night, but if you take the time to fix your credit blemishes, your score will improve over time.

So how can you improve credit ratings if you can’t get credit?  Credit card companies like our Vanquis and Capital One are specially designed for people with bad credit, or for people that have credit that needs help.  Even if you have been turned down by other credit card companies, you may be able to qualify for cards designed to improve credit.

As long as you manage the card properly, stay withn your credit limits and pay promptly, this is a good way to build credit history and to improve your credit rating.  Take the time to understand how to build good credit, and you will start down the road of financial freedom.  To find out more about cards designed for people with bad credit, Please visit our site UK Credit Card Centre for additional details.

Article Source: http://www.articlesbase.com/credit-articles/bad-credit-get-the-credit-card-you-want-and-the-credit-card-you-need-1768087.html

About the Author

At the UK Credit Card Centre our primary purpose is to provide personal financial solutions. Choosing the credit card that is best for you is rather simple. What’s not simple is the effort that is needed. That’s where we come in, we provide the tools and information necessary to help you find the credit card that is right for you

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Apply For Credit Card-Getting Approved For A Credit Card Can Be Difficult

by: admin - February 10th, 2011   Filed under: Credit Tips

Getting approved for a credit card can be difficult without a positive credit history working in your favor. It’s a Catch-22: To obtain a credit card, you need a good credit history. But to have a good credit history, you need to establish good credit!

This no-win cycle can keep people with a non-existent, limited or negative credit history from getting approved for a credit card. But it doesn’t have to if you understand the type of credit cards available and how to build a good credit history.

When it comes to credit cards, the type of card you apply for will depend on your situation. If you’re a student, you’ll, naturally, sign up for a student card. But if you’re a non-student with a non-existent or bad credit history, a card that is secured or obtained with a co-signer may be your best option. With co-signed credit cards, the co-signer guarantees and is responsible for the debt. This means that the co-signing person is responsible for paying the full amount of the debt if the card holder doesn’t pay. In fact, when co-signed debt goes into default, three out of four times co-signers are normally asked to repay what is owed, according to the Federal Trade Commission.

Furthermore, the issuing bank can attempt to settle the debt without first trying to collect from the card holder. The bank can also use the same collection methods against the co-signing individual, including suing and garnishing wages. If the debt is not paid, it can leave a negative mark on the credit history of the co-signer, as well as the card holder.

Despite the risks, a co-signed credit card can be great tool for helping a friend or relative build their credit history so they can one day obtain a card on their own. Secured, co-signed and pre-paid credit cards offer viable options. But you should start building a strong credit history, so you can obtain a regular credit card on your own in the future.

First, you need to understand how credit card issuers determine credit worthiness. The approval criteria varies from among issuing banks, but generally relates to what’s often called the three C’s of credit: capacity, character and collateral. Capacity refers to your ability to pay based on your income and existing debt. Collateral refers to any assets you have that can secure payment, such as bank accounts or home ownership. Character refers to factors like your payment history, length of employment, etc.

To get a good idea about how your application will fare with credit card companies, check your credit history with one of the major credit reporting agencies: Experian (www.experian.com), Equifax (www.equifax.com) and TransUnion (www.tuc.com). These agencies access your payment information directly from the companies you have credit with, as well as from government agencies such as the legal court system.

Credit reporting agencies use the information in your credit history to determine your credit rating or credit score. Credit scores, also known as FICA or Beacon scores depending on the CRA, generally range from 350 to 850. Most banks will approve you for credit if your score is at least 620. If your rating is 720 or higher, banks will offer you their lowest interest rate.

Generally, y our credit score is determined by your payment history for the last two years. T echnically, CRAs calculate your score using a closely-guarded formula. TransUnion, for example, determines credit scores using a variety of factors, including: how you pay your accounts, how much you owe and how often you’ve applied for credit.

http://www.credit-cards-rates.co.cc/

Article Source: http://www.articlesbase.com/credit-articles/apply-for-credit-cardgetting-approved-for-a-credit-card-can-be-difficult–819035.html

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Compare All The Low Rate Credit Cards In The Uk

by: admin - February 5th, 2011   Filed under: UK Credit Cards

So you are stuck in a credit card with an interest rate that keeps moving up.  If you want to move to a card that has a more reasonable rate, then you are at the right place.  The UK Credit Card Centre promotes a variety of credit card that have low interest rates associated with them.

We all use credit cards. The ease and convenience of credit cards is part of everyone’s financial day to day activities. So it’s obvious that we all want to reduce our costs associated with the use of credit cards. Although there are many way to reduce your credit card costs, the easiest way is to apply and qualify for a low rate credit card. You can save hundreds each month with a low rate card. When you transfer credit card balances from one card to another to take advantage of low introductory or promotional rates can result in significant reduction in interest or finance charges. Similarly, financing purchases with low introductory or promotional purchase rates can result in significant interest savings. At the UK Credit Card Centre, we offer many credit cards with low interest and low APR rates.

 The MBNA 6.7% American Express credit card offers a low 6.7% rate on your purchases, balance transfers, and money transfers.  Plus this without fees (transfer must be made within first 60 days).  With the MBNA 6.7% American Express you also get access to a fantastic rewards programme where you earn when you spend.  Redeem rewards for flights, cash, shopping vouchers and much more. Find out more about the MBNA 6.7% American Express Credit Card.

 The Barclaycard Simplicity Credit Card is another example of a low rate, low interest credit card targeting the UK market.  Barclaycard, a leader in the UK credit card market, offers the Simplicity card with a very low 7.8% interest rate.  So if you’re tired of having to find a new credit card each time the promotional offer on your current card ends, let us make life simpler for you. This card offers one low rate – 7.8%, applies to every purchase and/or balance transfer you make.  The Barclaycard Simplicity card not only offers a low rate, but also unparalleled benefits including Identity Protection Service, safe shopping with Fraud Protection, purchase delivery protection, emergency help when traveling abroad, and great holiday deals with our Travel Service.  Learn more about the Barclaycard Simplicity Credit Card.

To wrap up our discussion on low rate, low fee credit cards in the UK, we decided to include the MBNA Rate for Life Visa Card.  This card offers a promotional low rate on balance transfers and money transfers – 5.9% for the life of the balance.  This card is ideal for rearranging your finances and consolidating loans.  This promotional rate does come with a 2% transfer fee.  To learn more about the MBNA Rate for Life Visa Card.

Like all credit card decisions, you need to take the time to understand the interest rates and fees associated with each of the card.  To find out more, please visit the UK Credit Card Centre

Article Source: http://www.articlesbase.com/credit-articles/compare-all-the-low-rate-credit-cards-in-the-uk-2003113.html

About the Author

At the UK Credit Card Centre our primary purpose is to provide personal financial solutions. Choosing the credit card that is best for you is rather simple. What’s not simple is the effort that is needed. That’s where we come in, we provide the tools and information necessary to help you find the credit card that is right for you. Visit our site to find out more, UK Credit Card Centre

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The Basic Credit Card Types

by: admin - December 26th, 2010   Filed under: Credit Card Types

It may seem incredible, but credit card issuers clog the mails with over 2.5 billion offers inviting people to apply for a credit card. Even those who would not qualify for a conventional credit card due to serious credit problems are now able to get one; some credit card issuers even specialize in this particular type of market. And according to financial gurus, there are at least a billion credit cards in active circulation throughout the United States alone.

Credit has been an economic cornerstone for some time now. Surveys show that the average American household is estimated to have at least twelve credit cards, including charge cards. While you may tend to think that one credit card is pretty much the same as the next, there are in actual fact distinct characteristics for each different credit card type. It is good to know these difference between the three different types of cards in the market: a bank credit card, a travel credit card, an entertainment credit card (although nowadays the combined travel and entertainment card has become more common) and a retail credit card or house card.

Bank Credit Cards

You have probably noticed that most credit cards bear either the logo of Visa or MasterCard together with the name of the bank. It would appear that the credit card has been issued by either Visa or MasterCard. That is not quite an accurate assumption: these two companies do not issue credit cards directly to the consumers. Most of the credit cards on the market today are offered by thousands of banks around the globe. Each bank is linked to the credit card association, because are not allowed to issue any kind of card unless they are association members.

Visa is a privately held membership association, although it is preparing to go public. It started as an association of banks in California and the West Coast. There are over 20,000 financial institutions in the membership rolls, and virtually all of them offer Visa Card. MasterCard is also a membership association, similar to Visa, and originally consisted of member banks in the East.

A bank credit card is in reality a revolving credit line. When you receive your statement, you can pay all or part of your balance each month, run up the balance again and so on. Being a credit line, the account comes with a pre-determined credit limit that depends on key factors like disposable income, credit history, etc. The credit limit can be as low as a $100 or as high as many thousands of dollars.

It is possible for card holders to get themselves into trouble when they do not properly manage the revolving credit line. When you carry a balance instead of paying it off, the credit card issuer starts charging interest on that balance – in some cases, this interest could be pretty steep. The interest rate varies widely, depending on who issued the card, but you could expect the average credit card interest rate to be at about 18 percent.

For instance, if you carry forward a $1,000 balance for 12 months, you pay $180 in interest per year or $15 every month. If you maintain a $1,000 savings account, you will earn about $40 in interest per year. Those who get into trouble will have to reduce debt, and one of the more common ways to go about this, is to arrange for credit card debt consolidation, which helps lighten the interest burden.

Travel and Entertainment Card

Travel and entertainment cards are similar to bank credit cards in the sense that holders can charge purchases at various stores and locations. However, they are also different from bank credit cards because they are offered directly by the credit card companies, namely, American Express and Diners Club.

This credit card type was once accepted primarily at travel- and entertainment-related businesses such as airlines, hotels, restaurants and car rentals. Nowadays, all other establishments, such as upscale department stores, gas stations and drugstores, accept them. Like any bank card, the typical travel and entertainment card of today offers the menu of features that most credit card holders have come to expect, such as frequent flyer miles, luggage insurance and collision insurance coverage on rented cars.

A further difference between travel and entertainment cards, and bank cards, is that travel entertainment cards do not carry an extended line of credit. This means that you will are required to pay your outstanding balances in full, either within one or two billing periods, in order to for the account to stay current.

Both travel and entertainment credit card providers, such as American Express and Diners Club, also deliver categorized summaries of expenses charged to the credit cards at the end of each year. This certainly is a convenience at tax time.

House Card

Unlike a bank credit card, and a travel and entertainment card, which you can use in many purchase locations, a house card is accepted only at a particular store or stores within the same chain. House cards (also referred to as retail charge cards) are the second largest category of credit cards; major house issuers include department stores, oil and gasoline companies, and telephone companies. Discover Card, once owned by Sears, was probably the biggest house card until it was purchased by a financial institution to become a distinct credit card company.

Merchants are very much in favor of house cards as these cards are valuable in helping them to both develop customer loyalty and enhance sales; you may appreciate the shopping convenience they give you. Just like bank credit cards, house cards give you a line of credit, with a limit that varies depending on your creditworthiness. For this reason, you may choose not to pay your credit card bill in full each month. Note, however, that the majority of house cards charge fixed interest rates of between 18 and 22 percent annually; thus a house card is more expensive in terms of interest cost than a bank credit card.

All types of credit cards involve costs when you use them. After knowing the different credit card types, you may choose the credit card that best fits your personality and needs. If you have a number of credit cards on your wallet, you may also consider discarding some.

If you are the type who does not carry a monthly balance, you can have a credit card with no annual fee but make sure that there is a grace period on purchases. However, if you do carry a balance, it is wise to do away with a credit card that has the worst of the following:

  • High interest rates
  • Unfavorable interest calculations. A credit card may calculate interest charges based on average daily balance, not on the balance due.
  • No grace period. Some credit cards might charge interest from the date of purchase until payment date, even if you pay off your balance.
  • Nuisance fees. Try to do away with credit cards that have late-payment fees, over-limit fees, fees for not carrying a balance or only a balance below a certain level, or a percentage fee on your credit limit.

The modern bank credit card was first introduced in the 1960s by the Bank of America; the travel and entertainment credit cards were both introduced in the 1950s. Much may changed since then in terms of features and benefits, but the basic characteristics of each type of credit card have remained the same.

Article Source: http://www.articlesbase.com/finance-articles/the-basic-credit-card-types-218521.html

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Credit-Wisdom.com Provides Expert opinions and reviews to help you Compare and Apply for a Credit Card – Compare Credit Card Offers with Credit-Wisdom.com – Unraveling the best in Personal and Business Credit Cards.

 
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Credit Card Types And How To Know The Best For You

by: admin - December 22nd, 2010   Filed under: Credit Card Types

Choosing the right credit card is a decision that’s more important and difficult to make than most people think. With the right credit card, you’ll be able to maximize your card benefits without getting into debt.

Credit Card Types – Which One Suits You Best?

Low Interest Credit Card – If you’re interested in having a credit card only so you can pay for emergency expenses when you run out of cash, this is the best type of card for you.

Reward Credit Card – Every time you swipe your credit card, you get to enjoy an equivalent number of points depending on how much you’ve spent. The points you’ve accumulated can later be on exchanged for various prizes.

Airline Miles Credit Card – This is a type of reward credit card that offers only airline miles as rewards. When you use this credit card to purchase your plane fare, you’ll be able to enjoy reward miles. Later on, you’ll be able to use them and get discounted plane fare or fly for free even! The same rule applies for gas credit cards.

Student Credit Card – Credit card companies have lately been designing credit card offers exclusively for students. Although accompanied with higher interest rates, these cards often have funky designs and offer special reward programs developed primarily to provide maximum enjoyment for students. Proof of schooling is often required. It helps if you’re enrolled in an accredited school and you’ve got great grades.

Secured Credit Card – If you’ve got bad credit, there’s still a chance for you to own a credit card…but only if you’re okay with having a secured one. This type of credit card requires you to make a deposit on your bank account and serves as collateral in the event that you fail to pay off your credit card debt. Your credit card limit may equal or be more than the amount you’ve deposited.

Prepaid Credit Card – This isn’t a credit card per se, but it generally works like one. The limit of this card will depend on how much you’ve deposited in its account. You can’t spend more than what you’ve deposited. Its main difference with a secured credit card is that secured credit cards can have greater card limits beyond the value of its deposit.

Business Credit Card – This works just like any other conventional credit card only with a few additional perks that make it extremely suitable for business use. A business credit card can automatically separate personal expenses from business expenditures, facilitating monthly tallies for your taxes. It can also provide expense reports for your business, special rewards for your business, and allow you to provide supplementary cards for your employees. You can also choose to modify the credit limit of your employees if necessary.

Home-Secured Credit Card – This works like a secured credit card, but only this time you’re using your home as collateral. If you don’t get to pay off your credit card debt, you know what will happen to your home, don’t you?

Charity Credit Card – Think of it as shopping for a cause. Every time you purchase something using your credit card, a small amount of your money will be donated to the charity being sponsored by the credit card company. This is a great way to salve your conscience if you feel guilty about your materialistic tendencies.

Article Source: http://www.articlesbase.com/finance-articles/credit-card-types-and-how-to-know-the-best-for-you-182012.html

About the Author

Mario Churchill is a freelance author and has written over 200 articles on various subjects. For more information on credit cards or to apply for a credit card checkout his recommended websites.

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What Is Your Best Credit Card Type?

by: admin - December 21st, 2010   Filed under: Credit Card Types
Nearly everyone has a credit card or knows someone who does. Credit cards are an asset when used judiciously, help build credit and make travel and shopping convenient. Many people feel safer carrying plastic than cash.

Credit card companies and banks depend on the fees and APR (annual percentage rate) they charge their cardholders for their profits. There are many types of credit cards and not all of them are right for all consumers. Credit cards are generally unsecured debt, or money the cardholder owes that has no backing collateral. The exceptions to this are the pre-paid credit card and secured credit card, both which can be used to repair damaged credit.

A secured credit card is backed by collateral, or something of value that the credit company can seize if the cardholder fails to pay their balance. The collateral is usually equal to or exceeds the available credit balance.

Consumers who are trying to build up their credit, whether they are just starting their credit history or trying to recover from poor credit history generally use these cards. Prepaid cards are becoming very popular with the parents of young college students as a way to keep them within a budget but still give them a bit of freedom in how they spend their allotments.

Consumers who try to avoid paying higher interest are using Balance Transfer credit cards more and more. Transferring a balance from a high interest credit card to one with lower interest can be a real money saver.

Some cards have an introductory rate of 0% APR which increases after a specific number of months. If you have a large balance on a card that has a 16% APR and transfer it to a 0% card, you’ll save hundreds of dollars in interest. For this reason, balance transfer cards are doing a great business. The terms very widely between cards, so be sure that you know the conditions of each card.

Balance transfer cards can be very useful when purchasing large-ticket items like appliances on one credit card then transferring the balance to the 0% card.

Cash back credit cards reward the cardholder by returning 1% or sometimes more, of their purchases. Even mortgage companies have jumped on the cash back bandwagon, applying the 1% to the cardholder’s mortgage principal.

Over time, and as long as you don’t incur interest fees by carrying a balance from month to month, that 1% can be a significant contribution to paying down your mortgage. Some credit cards send the cardholder a check while others apply the rebates to the balance owed, if any.

There are other types of rewards for using credit cards, too. Consumers can get cards that award them mileage on airlines, points that are used to purchase merchandise, rewards of gasoline rebates or points toward lodging or entertainment. Some of these cards, however, charge a yearly fee to cover the costs of rewards so it pays to read the terms and conditions of such cards.

When used responsibly, credit cards can be a real asset. They are convenient, accepted nearly everywhere and make it easy to track expenses. In addition, unlike cash, if they are stolen your losses are minimal or none.

Article Source: http://www.articlesbase.com/credit-articles/what-is-your-best-credit-card-type-354243.html

About the Author

Joe Kenny writes for Credit Cards Web, offering credit cards or onlystop.com for some great credit cards, for US residents with credit card debt visit Rebuild for debt relief

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Credit Card Types: Unsecured

by: admin - December 18th, 2010   Filed under: Credit Card Types

There are two basic credit card types: secured and unsecured. This article explores some of the issues associated with unsecured credit cards.

First, what is an unsecured credit card? An unsecured credit card is a card (and credit line) that does not require any security deposit from you. These unsecured credit cards are generally intended for those people with a fairly good credit history.

Nearly all unsecured credit cards will come with a credit limit. This is the total amount of credit that you can charge to the card. If you go over that limit, you may be penalized. The actual amount of the credit limit is determined by the card issuer and it does not have to be same for every person. In other words, one person may have a limit of $500 while another may have a limit of $5000.

There are some important issues associated with an unsecured credit card that consumers should understand. A few of those issues include:

  • The Grace Period: You should read and understand the grace period that applies to each of your credit cards. The grace period is the amount of time that you have to pay your balance before the card issuer begins charging you interest on the balance. If you pay your balance in full before the grace period ends you will not be charged interest. Each company has its own amount of time for grace payments so be sure you read each company’s policy.
  • Annual Fee: Before you apply for an unsecured credit card see if the company charges an annual fee. This is a yearly fee that is charged to your account or may have to be paid in advance. Annual fees are more often associated with secured credit cards but you may see them with unsecured as well.
  • Balance Transfer: Your unsecured credit card may offer what is known as a balance transfer. A balance transfer is when you have an existing balance with another company and you transfer that balance over to the new card.  Why would you do this? If the new card has a substantially lower interest rate you can save money.
  • Annual Percentage Rate: Of particular interest to anyone who plans to apply for or use an unsecured credit card is the APR that is associated with the card. This is the amount of interest that the company will charge you if you do not pay off the full balance within the grace period allowed. As you might imagine, the lower the ARP, the less you will have to pay in interest charges.
  • Finance Charge: Your unsecured credit card may include finance charges that are above and beyond the APR. Finance charges are most often triggered when you take out a cash advance. Again, make sure you understand these charges before you use the card for purposes that trigger added finance charges.
  • Gold or Platinum Cards: These cards usually carry a higher credit limit and may come with some extra benefits or reward programs. These are nice to have but make sure you are not paying extra for something that you will not use.

 

Article Source: http://www.articlesbase.com/finance-articles/credit-card-types-unsecured-203568.html

About the Author

Peter Kenny is a writer for The Thrifty Scot, please visit us at Credit Card and Unsecured Loans

Visit http://www.thriftyscot.co.uk

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About Credit Cards – Types of Credit Cards

by: admin - December 15th, 2010   Filed under: Credit Card Types
About Credit Cards

The majority of the cards you’ll probably notice offer lucrative schemes and rewards. There is an endless list of types of student credit cards, so it becomes very difficult to select the appropriate one for you. All these types of cards can be differentiated on the bases of interest rate; cash back amount, annual fee, bonus and rewards. So you have to pick up the one which is the most beneficial for you. Few types are discussed below:

1. Low-interest credit card:

i. It offers a low initial introductory annual percentage rate (APR). ii. It also offers significant savings on interest when the amount of large purchases is paid back before the end of introductory period.

2. Balance transfer credit card:

i. It offers consolidation of credit card debts.

ii. To transfer the debt to a low APR plastic card can save a huge amount of interest.

3. Reward credit card:

i. They offer various hotel discounts, frequent flyer miles, free fuels etc just to promote the usage of card.

ii. It is beneficial for those students which are flying (travelling) frequently and are more engaged in shopping etc.

iii. Based on how much is the usage of student credit card over a definite period of time.

4. Airline mile credit card :

i. It is almost same as the card mention above but the reward can be redeemed only in the form of air travel.

ii. A free air travel given per mile for fixed amount of dollars you spend.

5. Cash-back credit card :

i. It pays back cash rewards for making purchases with the card.

ii. Excluding interest and finance charges, it pays around 1 cent per dollar spent.

iii. It is preferred if you are regular in paying off payments every month.

6. Secured credit card:

i. It is the best option if you have a very little credit.

ii. It is secured with collateral or cash deposits.

7. Pre-paid cards :

i. It is actually a misnomer as it works same as gift cards for retail shopping.

ii. You have to deposit a certain amount and then you can use that card to make purchases up to that amount.

iii. It generally offers bonus and rewards. Moreover no credit check is required.

Major credit card providers are:

  • American Express
  • Visa
  • Citibank
  • Discover
  • MasterCard
  • Capital One

Article Source: http://www.articlesbase.com/credit-articles/about-credit-cards-types-of-credit-cards-1509526.html

About the Author

For more information on Credit Cards and how to manage your credit utilization ….. Read ….About Credit Cards

Freelance consultant with interest in many subjects.

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